How many use Direct Deposit from your employer

[prostock1]

I just started wondering about the wrong person getting the info. and start making debits, instead of deposits.

I asked my bank and they said when you give a employer permission to direct deposit and also lets them make debits if needed.

I had a co-worker who was over paid and he told them to just take back the extra amount, and the HR department told him they couldn't. He had to write the company a check for the amount.

Anyone else ever had issues ?

[Mysticcobrakilla]

I've used direct deposit for over nine years with my present employer with zero issues.

[Roscoe]

The way the payroll process works, it not possible to "accidentally" make a debit instead of deposit. You are not authorizing your employer to make any deductions.

Even if an employer significantly overpays they cannot take it back. You have to issue the money back to them yourself - by law.

[ceyko]

Zero issues here and I've never had an employer take money directly from my account. Way too many things can go wrong with old school checks in comparison.

[mstng86]

The way the payroll process works, it not possible to "accidentally" make a debit instead of deposit. You are not authorizing your employer to make any deductions.

Even if an employer significantly overpays they cannot take it back. You have to issue the money back to them yourself - by law.

This. If funds hit your account in this way, they are yours and only you can authorize the debit. The employer can not send another ach file to debit your account without your permission.


Working with this everyday i can tell you the common issues.

People closing their account and their funds being returned back to their employer.

Employers using the wrong routing number and the payment rejecting.

Sometimes, an employer can have problems sending the bank their payroll file and the payment gets delayed

Sometimes glitches occurr and some employees just don't get paid.

Direct deposit is really what is called an ach. It is all electronic files going back and forth so there is always room for error.

[YALE]

That shit rocks. Extra trips to the bank, FTL.

[jluv]

I've had direct deposit at every job since I was 18. Only way to go.

I do know they can recall a direct deposit (we call them EFTs, for Electronic Funds Transfers). I work for a staffing firm, and our accounting dept sent an EFT to the wrong person. We recalled that shit days after it was sent and had already cleared and everything.

[kingjason]

Yeah when I got a divorce some years ago I went down to change banks to route my money to. She asked me if I wanted to pull last weeks check out of my ex's account. She said it would be no issue. LOL I chose not to though.

That being said I have had it prob 20 years or so with no real issues.

[Chopped54]

I thought the only people that did not were the ones without a bank account....

[SSMAN]

I have direct deposit. No complaints, but you are correct...they can debit your account too. Say you have outstanding expenses due to a business trip and you quit your job. They will yank the money right out of your account.

Like you said, you give them permission to put money in and out.

[mstng86]

I've had direct deposit at every job since I was 18. Only way to go.

I do know they can recall a direct deposit (we call them EFTs, for Electronic Funds Transfers). I work for a staffing firm, and our accounting dept sent an EFT to the wrong person. We recalled that shit days after it was sent and had already cleared and everything.

EFT is ach. You are right though, nacha rules give the sender five business days to submit a recall of the funds buy the debit still has to be approved.

[jluv]

EFT is ach. You are right though, nacha rules give the sender five business days to submit a recall of the funds buy the debit still has to be approved.

This lady tried to tell us to get bent because she thought we still owed her money (we didn't; she had already received her last check). That shit got recalled anyway. BofA.

[grove rat]

i had it in the military and at my current job, never had a problem with it

[Grimpala]

I thought the only people that did not were the ones without a bank account....

Not all companies offer DD.

I wish mine did because I get paid weekly and it sucks having to go to the bank every Monday.

They tried it a few years back, but the guys in the shop didn't like their wives/gfs/live ins knowing what they made, they wanted to be able to take cash home to disperse.

One of the partners wants it, the other doesn't care, so we don't get it.

[Couver]

Mando here in the military. Direct deposit is a good thing.. Cept when you get an overpayment they take it out of the next check... When they owe you it is going to be awhile.